A coalition of industry bodies have urged the Australian government to expand key federal initiatives to include renewable natural gas in order to achieve the significant emissions reductions needed to meet the government’s 2035 net-zero targets.
The Renewable Gas Alliance, together with a number of industry leaders, urged the government to broaden the eligibility of existing programs, including the Hydrogen Production Tax Incentive and Hydrogen Headstart, to include renewable natural gas (biomethane).
The group said expanding existing programs is a more practical solution as it requires no new funding streams to allow biomethane projects access to renewable gas support. This would also unlock private investment and accelerate emissions reductions in difficult-to-decarbonise sectors.
Shahana McKenzie, CEO of Bioenergy Australia, said: “Momentum for renewable gas has never been stronger. With clear government support, Australia can accelerate investment, deliver practical emissions reductions, and build a cleaner, more resilient economy.”
“This is a proven technology already deployed globally. The opportunity to capture economic and environmental benefits here in Australia is enormous – but only if policymakers act now,” she added.
Renewable natural gas is created by processing biogas generated from decomposing organic waste. It is compatible with all existing gas network infrastructure.
A new Blunomy report finds that approximately 400 petajoules of biomethane could be recovered annually from existing feedstocks such as food and garden waste.
Australia has a competitive advantage in developing a domestic renewable natural gas industry, as the country has vast sustainable bio-based feedstock and end-to-end chain capacity.
Industry leaders, including Andrew Richards, CEO of the Energy Users Association of Australia, and Dom van den Berg, CEO of Energy Networks Australia, also endorsed the call, highlighting RNG’s potential to diversify supply, lower emissions, and maintain affordable, reliable energy for industrial users.